Investor Presentaiton
A risk of greenflation
Major fossil fuel commodity index
(USD/mil BTU)
7
New Castlle coal future (RHA)
-WTI future (RHA)
NY LNG future (LHA)
6
5
4
3
2
1
0
2017
2018
NOMURA
(USD/bbl)
(USD/metric ton)
300
250
200
150
100
In the longer run, however, we cannot totally
rule out the possibility of stagflation.
A move toward carbon neutrality in the middle
of the 21st century ironically raised concerns
of a lack and halt of investment in mining and
production facilities for fossil fuels like oil, LNG,
and coal.
Markets have started to worry that a resulting
persistent supply shortage may steadily
elevate commodity prices and result in
accelerated inflation.
50
50
0
2019
2020
2021
2022 (CY)
Source: Nomura, based on Bloomberg data
7View entire presentation